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Manufacturers can focus on modular ERP for improved performance

Manufacturers can focus on modular ERP for improved performance

Enterprise resource planning software installed by a reputable provider rarely causes operational problems, but incorrect and unformed opinions and action plans relating to ERP implementation can be.

Businesses eager to utilize the advantages conferred by an ERP program often don't consider all of their options and may not sufficiently plan out their processes for selection and use. This lack of preparation can lead to diminished results for a variety of reasons, including the selection of a less-than-optimal platform, a lack of employee involvement and uneven training practices. Midsize Insider cites a recent study from Panorama Consulting that found more than half of 200 surveyed companies realized fewer positives from their ERP software than were expected.

Customize components for a superior system
The many types of ERP software available can create uncertainty among organizations, although some research and consultation with business partners and even competitors – if there is a positive relationship in place – can aid the selection process.

Organizations focused on manufacturing, warehousing and fabrication should consider the unique benefits that modular ERP can provide to those industries and market segments. By using a program like Microsoft Dynamics NAV, businesses can adapt the overall functionality of the software to meet specific needs on industry-wide and company-specific levels.

Organizations with a need for advanced time tracking software can implement this component without having to use the most intricate and expensive solution across the board, for example. This allows businesses to focus their resources on specific areas of need without having to pay for advanced features that won't be utilized enough to justify the financial obligation. The modular system also allows for modifications to be made past the initial implementation phase without the problems that can affect highly customized, static ERP systems when changes are needed.

Work with employees
CIO.com highlights the importance of working with employees, no matter what kind of ERP system is being selected and instituted. However, modular programs should make it a priority to involve workers from across a variety of departments to aid in the selection of components.

A front-line factory supervisor will likely be able to articulate the need for certain inventory tracking add-ons that may not be evident to a high-level executive. This example can be extrapolated across an organization, as staff in specific areas will likely have more knowledge about specific operations and deficiencies. Top-level executives, meanwhile, can provide input on the financial and other higher-end components of such a system.

Posted in: Industrial Manufacturing, Inventory Management

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